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The idea that non-profit groups are more virtuous than profit driven companies

Posted on 7/13/14 at 6:41 pm
Posted by weagle99
Member since Nov 2011
35893 posts
Posted on 7/13/14 at 6:41 pm
Why are non-profit organizations portrayed as having preferable motives compared to for profit groups when the profit motive is the most efficient driver for achieving a given result?
This post was edited on 7/13/14 at 6:47 pm
Posted by ruzil
Baton Rouge
Member since Feb 2012
16915 posts
Posted on 7/13/14 at 6:48 pm to
Non profits are a clever way for the ruling class to shuttle tax money to their family and friends.
Posted by Taxing Authority
Houston
Member since Feb 2010
57264 posts
Posted on 7/13/14 at 6:56 pm to
quote:

Why are non-profit organizations portrayed as having preferable motives compared to for profit groups when the profit motive is the most efficient driver for achieving a given result?
I have no idea. Non-profit does not = no money. One "non-profit" I know avoids "profit" by dividing up all the money left over at the end of the year on purchases of lavish office accoutrements and bonuses. Seems pretty common actually.
Posted by Bestbank Tiger
Premium Member
Member since Jan 2005
71104 posts
Posted on 7/13/14 at 6:56 pm to
quote:

the profit motive is the most efficient driver for achieving a given result?


There's no profit in giving things to people who can't afford them, so in the case of charities, nonprofits are the only mechanism.

Whether that is more virtuous is a value judgment.
Posted by Draconian Sanctions
Markey's bar
Member since Oct 2008
84860 posts
Posted on 7/13/14 at 6:57 pm to
quote:

Why are non-profit organizations portrayed as having preferable motives compared to for profit groups


sounds pretty self explanatory

quote:

when the profit motive is the most efficient driver for achieving a given result?


ahh the myth that the unfettered free market will solve all of society's ills
This post was edited on 7/13/14 at 7:10 pm
Posted by Taxing Authority
Houston
Member since Feb 2010
57264 posts
Posted on 7/13/14 at 7:04 pm to

quote:

There's no profit in giving things to people who can't afford them, so in the case of charities, nonprofits are the only mechanism.
Not neceassarily. Many for-profit companies are actually QUITE charitable. The Houston Symphony Orchestra is heavily subsidized by Chevron, Exxon and Shell.
Posted by Antonio Moss
Baton Rouge
Member since Mar 2006
48313 posts
Posted on 7/13/14 at 7:17 pm to
quote:

ahh the myth that the unfettered free market will solve all of society's ills


Who has ever claimed this?
Posted by weagle99
Member since Nov 2011
35893 posts
Posted on 7/13/14 at 7:18 pm to
quote:

There's no profit in giving things to people who can't afford them, so in the case of charities, nonprofits are the only mechanism.



I argue that alot of the 'have nots' are that way because society has villainized the profit motive for so long.

Posted by HailHailtoMichigan!
Mission Viejo, CA
Member since Mar 2012
69304 posts
Posted on 7/13/14 at 7:19 pm to
non-profits still make money, they just don't pay it out in dividends.
Posted by Draconian Sanctions
Markey's bar
Member since Oct 2008
84860 posts
Posted on 7/13/14 at 7:22 pm to
quote:

because society has villainized the profit motive


what country have you been living in? America is one of the most materialistic, most accepting of "the profit motive" of any country in the world.
This post was edited on 7/13/14 at 7:24 pm
Posted by weagle99
Member since Nov 2011
35893 posts
Posted on 7/13/14 at 7:33 pm to
quote:

most accepting of "the profit motive" of any country in the world.


All of the oil companies that operate in the United States say 'hello.'

And that is just one example out of very many.
Posted by Draconian Sanctions
Markey's bar
Member since Oct 2008
84860 posts
Posted on 7/13/14 at 7:35 pm to
how much time have you spent outside the united states?

serious question.
Posted by weagle99
Member since Nov 2011
35893 posts
Posted on 7/13/14 at 7:40 pm to
quote:

how much time have you spent outside the united states?



Some, but not as much as I would like. Probably true for most people who like to travel.

I think I see where you are going.

Posted by Bestbank Tiger
Premium Member
Member since Jan 2005
71104 posts
Posted on 7/13/14 at 7:41 pm to
quote:

Not neceassarily. Many for-profit companies are actually QUITE charitable. The Houston Symphony Orchestra is heavily subsidized by Chevron, Exxon and Shell.


For profit companies can be charitable.

But I was thinking more in terms of organizations like soup kitchens. You can't make money giving food to people who can't afford it--the math just doesn't work.

Even if you have support from Shell or Exxon or Chevron, they're going to want to see their donations go to the people who need it. So if you take a little off the top, your benefactors are going to be less generous in the future. All the money needs to go to your mission.
Posted by La Place Mike
West Florida Republic
Member since Jan 2004
28813 posts
Posted on 7/13/14 at 7:43 pm to
quote:

Why are non-profit organizations portrayed as having preferable motives compared to for profit groups


quote:

sounds pretty self explanatory


You wouldn't believe how many non profits are set up here in the NOLA area just to avoid paying taxes. Put it this way. There are a lot of Black gentlemen that are calling themselves Reverend with established Churches with no congregations.
Posted by the808bass
The Lou
Member since Oct 2012
111529 posts
Posted on 7/13/14 at 7:58 pm to
quote:

But I was thinking more in terms of organizations like soup kitchens. You can't make money giving food to people who can't afford it--the math just doesn't work.


You can make money as a non-profit hospital. A lot of money. You can make a lot of money providing halfway houses. You can make a lot of money in a hospice. You can make a lot of money providing substance abuse counseling. Or running children's charities.
Posted by the808bass
The Lou
Member since Oct 2012
111529 posts
Posted on 7/13/14 at 7:59 pm to
quote:

Even if you have support from Shell or Exxon or Chevron, they're going to want to see their donations go to the people who need it. So if you take a little off the top, your benefactors are going to be less generous in the future. All the money needs to go to your mission.


Not necessarily. Rainbow Push says hello.
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